Aida Pharmaceuticals, Inc., one of mainland China's leading pharmaceutical companies, has agreed to purchase the remaining outstanding shares of Shanghai Qiaer Bio-Technology Co., Ltd. that the company does not already own from Zhejiang Pharmaceutical Co., Ltd.
Under the terms of the agreement, Aida Pharmaceuticals will purchase an additional 45% of the outstanding shares of Shanghai Qiaer Bio-Technology for $495,650. Aida previously paid $561,324 as a deposit to purchase 55% of the outstanding shares of Shanghai Qiaer Bio-Technology; upon completion of this transaction, it is anticipated that Shanghai Qiaer Bio-Technology will become a wholly owned subsidiary of Aida, subject to future capital structure changes at Aida Pharmaceuticals. The Company anticipates closing the transaction at the end of June 2006.
Shanghai Qiaer Bio-Technology is a pharmaceutical company whose key product is rh-Apo21, a pioneering gene therapy drug used to treat certain forms of cancer. Rh-Apo21 is nearing the end of Phase I clinical trials, which are expected to be completed at the end of April 2006. Shanghai Qiaer Bio-Technology has applied for three patents from the Chinese government authority. One patent has been granted and the other two are currently in process.
"Gene therapy is the future of the pharmaceutical industry, holding the promise to treat some of the most difficult health problems facing the world today," Biao Jin, Aida's chief executive officer said adding, "We are pleased to be able to tier our pharmaceutical offerings to include antibiotics, cardiovascular, antineoplastic drugs and genetic drug therapies. The acquisition of Shanghai Qiaer Bio-Technology is an important step for Aida to solidify our entry into the rapidly growing field of genetic medicine both nationally and internationally."